Introduction Welcome to a thought-provoking … Continue reading “[Opinion] CBIC Cracks Down on Fake GST Registrations | New Guidelines for Compliance”
The post [Opinion] CBIC Cracks Down on Fake GST Registrations | New Guidelines for Compliance appeared first on Taxmann Blog.
Introduction
Welcome to a thought-provoking discussion on the latest guidelines issued by the Central Board of Indirect Taxes and Customs (CBIC) to tackle the alarming issue of fake GST registrations. As we navigate through the provisions for physical verification, including search and inspection, by GST authorities, we shed light on the objectives and nature of this special drive. Join us as we explore the impact of these guidelines and uncover essential insights to ensure compliance and transparency in the GST system.
Objective of the Special Drive
Discover the primary objectives behind CBIC’s special drive, which aims to identify individuals who have obtained GST registration through illegal means and are misusing the identities of others. Learn about the stringent actions, such as suspension, cancellation, and blocking of input tax credit that will be taken against these fraudulent entities. We also delve into the disallowance of input tax credit for recipients who have availed it from non-existent suppliers.
Nature of Investigation: Physical Verification under Rule 25
Explore the fundamental step of physical verification conducted by the GST department to determine the existence of a supplier. We clarify the limited scope of rule 25, which permits inspections to verify premises’ existence and authenticate registered persons’ KYC details. We emphasize the importance of seeking proper identification from officers carrying out physical verifications to establish their genuineness.
Click Here To Read The Full Article
The post [Opinion] CBIC Cracks Down on Fake GST Registrations | New Guidelines for Compliance appeared first on Taxmann Blog.
GST & Customs Archives – Taxmann Blog Read More